EBRD Provides $142 Million for Major Renewable-Energy and Battery Development in Uzbekistan

Strategic Insights -

The European Bank for Reconstruction and Development (EBRD) is providing a comprehensive financing package of $142 million for two special-purpose vehicles (SPVs) that will develop Uzbekistan's and Central Asia's largest combined solar photovoltaic and battery energy storage project to date. The project, owned by ACWA Power and Japanese investors, aims to construct 1 GW of solar and 1,336 MWh of battery energy storage capacity, improving grid reliability and flexibility by making additional energy capacity available during periods of peak demand. This project is expected to generate around 2,300 GWh of electricity per year, powering 600,000 households annually, and contribute to the government's renewables plan, which targets the development of 25 GW of solar and wind capacity by 2030.

Key Takeaways:

  • The EBRD is providing a comprehensive financing package of $142 million for two SPVs that will develop Uzbekistan's and Central Asia's largest combined solar photovoltaic and battery energy storage project to date.
  • The project will construct 1 GW of solar and 1,336 MWh of battery energy storage capacity, improving grid reliability and flexibility.
  • The project owners, ACWA Power and Japanese investors, will introduce the largest combined solar photovoltaic (1 GW) and BESS (1,336 MWh) capacity in Uzbekistan and across the region.
  • The project is expected to generate around 2,300 GWh of electricity per year, powering 600,000 households annually.
  • The project will contribute to the government's renewables plan, which targets the development of 25 GW of solar and wind capacity by 2030.
  • The EBRD has invested over $5.35 billion in Uzbekistan to date across 188 projects, with the majority of this funding supporting private entrepreneurship and contributing to the country's economic development.
  • The project aims to improve grid stability and reliability by mitigating the intermittency of renewable energy sources.
  • The project will be co-financed by the Japan Bank for International Cooperation, Nippon Export and Investment Insurance, the Asian Development Bank, and the Islamic Development Bank.

Statistics:

  • $142 million: the comprehensive financing package provided by the EBRD.
  • 1 GW: the solar capacity to be constructed in the Samarkand region of Uzbekistan.
  • 1,336 MWh: the battery energy storage capacity to be constructed in the Samarkand and Bukhara regions of Uzbekistan.
  • 500 MW: the solar capacity to be constructed by each SPV in the Samarkand region.
  • 668 MWh: the battery energy storage capacity to be constructed by each SPV in the Samarkand and Bukhara regions.
  • 2,300 GWh: the electricity generation per year, powering 600,000 households annually.
  • 25 GW: the target solar and wind capacity by 2030.
  • 1.65 GW: the wind capacity supported by the EBRD in Uzbekistan to date.
  • 1.4 GW: the solar photovoltaic capacity supported by the EBRD in Uzbekistan to date.
  • 334 MW/501 MWh: the battery energy storage capacity supported by the EBRD in Uzbekistan to date.
  • $5.35 billion: the total investment by the EBRD in Uzbekistan to date across 188 projects.

Sources:

  • European Bank for Reconstruction and Development (EBRD)
  • ACWA Power
  • Japan Bank for International Cooperation
  • Nippon Export and Investment Insurance
  • Asian Development Bank
  • Islamic Development Bank